* U.S., European shares edge up, but Fed uncertainty caps
* Robust China trade data a promising sign for global growth
* Japanese shares jump as yen hits 5-year trough on euro
* Bonds steady, euro at six-week high vs dollar
By Wanfeng Zhou
NEW YORK, Dec 9 Stock markets worldwide rose on
Monday and the euro climbed to a six-week high against the
dollar after Chinese trade and inflation data boosted optimism
about the global economy.
Gains in U.S. stocks were limited as investors looked to
speeches from top Federal Reserve officials later in the day for
clues on whether Friday's strong U.S. jobs data could prompt the
U.S. central bank to start reducing bond buying this month.
China's exports handily beat forecasts in November, adding
to evidence of a stabilization in the world's second-largest
economy, while an unexpected drop in consumer inflation eased
fears of any imminent policy tightening.
The latest solid data from major economies has boosted
confidence that the global economy is recovering well enough to
withstand a scale-back in Fed stimulus, though uncertainty about
the timing and impact of a move could keep a lid on markets into
"The strong labor data out of the U.S. and the robust trade
balance numbers from China suggest that global growth may be
better than consensus view," said Boris Schlossberg, managing
director of FX strategy at BK Asset Management in New York.
The MSCI world equity index, which tracks
shares in 45 countries, rose 0.4 percent.
The Dow Jones industrial average slipped 0.29 point,
or 0.00 percent, at 16,019.91. The Standard & Poor's 500 Index
was up 2.57 points, or 0.14 percent, at 1,807.66. The
Nasdaq Composite Index was up 7.02 points, or 0.17
percent, at 4,069.54.
Richmond Fed President Jeffrey Lacker will speak at an
economic outlook conference in Charlotte, North Carolina, at
12:30 p.m. EST (1730 GMT). Later, St. Louis Fed President James
Bullard and Dallas Fed President Richard Fisher also speak.
"Today's economic calendar is light, but several Federal
Reserve officials are slated for speeches, keeping the debate
over the Fed's tapering timeline alive and well," said Tony
Venosa, senior options strategist at Schaeffer's Investment
Research in Cincinnati, Ohio.
European shares edged up 0.06 percent, while
Tokyo's Nikkei climbed 2.3 percent.
The Fed will start reducing its massive bond-buying program
no later than March, according to a Reuters poll on Friday after
the strong jobs data, with a handful of Wall Street firms
expecting it to take action as early as December.
The Fed has had considerable success in persuading investors
that tapering is not tightening, and that interest rates will
remain low for a long time to come.
The benchmark 10-year U.S. Treasury note was up
11/32, the yield at 2.8389 percent.
The euro rose as high as $1.3729, according to
Reuters data, as short-term interest rates in the euro zone
money market edged up after the European Central Bank last week
dented speculation of any imminent easing.
Against the yen, the euro climbed to 141.56,
reaching highs not seen since October 2008. It was last trading
at 141.38 yen, up 0.3 percent on the day.
The dollar gained 0.2 percent to 103.11 yen, not far
from the six-month peak of 103.37 set last Tuesday. The yen
continued to underperform on the Bank of Japan's ultra-loose
monetary policy and the pick-up in risk appetite.
Strong Chinese data helped lift copper prices, while
spot gold rose to $1,237.36 an ounce from $1,228.24.
Brent futures fell $1.47 a barrel to $110.14. U.S.
crude was down 6 cents at $97.59.
Emerging market attention remained on Thailand after Prime
Minister Yingluck Shinawatra called snaps elections in an
attempt to defuse the country's tensions.
The Thai baht rose almost 1 percent versus the dollar
initially, only to backslide along with Bangkok shares
as anti-government protest leaders vowed to fight on.